Saturday, March 24, 2012

Not having Apple’s revolutionary iPhone caused 1,900 layoffs at T-Mobile USA

“T-Mobile said Friday it will cut 1,900 call center jobs in an effort to save money,” Jim Edwards reports for The Business Insider. “In a memo to employees, CEO Philip Humm explained: ‘The reality is our cost structure must be better optimized to match our customer base and call volumes.’”
“Fair enough—but that’s not the explanation he gave last month on T-Mobile’s Q4 2011 earnings. At that time, he said the reason his company is losing business is because it cannot advertise the iPhone to its customers,” Edwards reports. “T-Mobile, which does not have a deal with Apple to sell the iPhone, lost 1.6 million customers last year, with contracts falling to 24.8 million, down from 26.5 million in 2010… Q4 2011 revenue fell to $4.57 billion from $4.69 billion in 2010.”
Edwards reports, “To stem the losses, T-Mobile is pressuring its workers to sell more and more stuff to customers who call up asking for help. The micromanaging is becoming ‘ridiculous,’ according to this angry T-Mobile employee, as the company makes workers’ call scripts longer and longer.”
Read more in the full article here.

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